Agenda item

The Cabinet Member for Cabinet Member for Housing Services, Private Renters, and Planning considered the report which requested approval for the award of a contract for Asbestos Services including surveying, bulk sampling, and air monitoring. The contract award would be for the maximum sum of £709,295.00.

The contract sum was made up from the contractor’s tendered rates, which had been priced against a schedule of addresses and different survey types required in each property, with estimated frequencies, including annual inspection etc. Each contractor submitted their own rates, but all were set against the fixed schedule of addresses and surveys provided by Haringey as mentioned above.

The report also requested approval for the issue of a letter of intent to the preferred contractor. This would be for an amount up to, but not exceeding, £70,929.50. This represented 10% of the contract sum. This would enable mobilisation of the contract, whilst the contract documentation was finalised.

It was highlighted that the contract would be for 4 years with an option to extend for a further 2 years and it was suggested that this information should be included in the recommendations for reference; this was agreed by the Cabinet Member.

In relation to service charges, it was noted that costs to individual leaseholders would be below the threshold of £100 in any service charge year. It was explained that surveying would generally take place annually and any high risk areas would have asbestos removal which would remove the need to investigate further. It was added that, where possible, asbestos works were included within major works to minimise disruption and costs.

In response to a question about the properties affected, the Asbestos, Construction, and Fire Risk Manager noted that asbestos would generally be found in properties built between 1960-1999.

The Cabinet Member RESOLVED

1.    In accordance with Contract Standing Order (CSO) 9.07.1(d), to approve the award of a contract to the contractor ranked No.1 in exempt appendix A for 4 years with an option to extend for a further 2 years. Works included within this project include the following: asbestos surveying, bulk sampling and air monitoring.

2.    To approve the issue of a letter of intent for an amount of up to, but not exceeding, £70,929.50 which represents 10% of the contract sum.

3.    That the approval of future contract extensions as permitted under the contract, the Councils Standing Orders, and in accordance with regulation 72 of the Public Contract Regulations (2015) is delegated to the Director of Placemaking and Housing.

Reasons for decision

Cabinet Member approval for the award of this contract, which is deemed to represent value for money. This is following a tender process undertaken in conjunction with Haringey Council’s Procurement team via the Dynamic Purchasing Systems (DPS).

The tender process was carried out in accordance with the procurement DPS requirements that incorporate price and quality. The successful compliant bidder scored the highest in relation to these criteria in the associated lot.

The split between price and quality was agreed with procurement prior to tendering to ensure we get the most economically advantageous outcome and ensure the best value for money. The quality side of the tender assessed the contractors’ ability in a number of areas, not least their approach to the Health and Safety of residents and staff.

Alternative options considered

An alternative option would be for Haringey to use third party industry frameworks. Haringey sought support and advice from Strategic Procurement and determined Haringey Council’s Dynamic Purchasing System (DPS) asbestos category as being the optimum route to the market. This was due to the speed of access to quality-checked contractors and focus on companies that concentrate their resources in the local area.

Following the expiry of the previous long-term contract 2021, with all available extensions having been used, we procured an interim contractor for a maximum value of £150,000, under Director’s delegated authority. This was to allow sufficient time to procure a longer-term solution. The value of the interim contractor’s contract is anticipated to be reached in November 2022 and therefore there is no option to continue with this current contractor.

A do-nothing option would mean the Council is not able to deliver necessary services in accordance with the Health and Safety regulations.